Sadly it's all part of the endgame some in the business envisage, that's why the big fish are prepared to hang on, even lose money because they're banking on a last man standing scenario where just a few big publishers remain completing the transition to a Hollywood style 'mature' industry where just a few players control big budget releases with a low budget indie scene underneath them.

EA, Activision, Ubisoft on the Western side, with maybe Square Enix and Capcom swallowing the smaller fish on the Japanese side.

I wouldn't be surprised to see some more totally unexpected buyouts in the next few years. Konami must be a tempting target, plenty of valuable IP that they don't know what to with and they've spent the whole generation floundering. If the public ever lose their taste for Metal Gear they're stuffed.

THQ Inc. (THQI), a leading worldwide developer and publisher of interactive entertainment software, today announced that it entered into an Asset Purchase Agreement with a 'stalking horse bidder,' affiliates of Clearlake Capital Group, L.P., to acquire substantially all of the assets of THQ's operating business, including THQ's four owned studios and games in development. The sale will allow THQ to shed certain legacy obligations and emerge with the strong financial backing of a new owner with substantial experience in software and technology.

To facilitate the sale, THQ and its domestic business units have filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Court for the District of Delaware. The company's foreign operations, including Canada, are not included in the filings. The company has obtained commitments from Wells Fargo and Clearlake for debtor-in possession (DIP) financing of approximately $37.5 million, subject to Court approval.

THQ will continue operating its business without interruption during the sale period, subject to Court approval of THQ's first-day motions. All of the company's studios remain open, and all development teams continue. The company remains confident in its existing pipeline of games. THQ maintains relationships with some of the top independent development studios around the globe. As part of the sale, the company is seeking approval to assume the contracts of these studios, and Clearlake will assume these contracts.

"The sale and filing are necessary next steps to complete THQ's transformation and position the company for the future, as we remain confident in our existing pipeline of games, the strength of our studios and THQ's deep bench of talent," said Brian Farrell, Chairman and CEO of THQ. "We are grateful to our outstanding team of employees, partners and suppliers who have worked with us through this transition. We are pleased to have attracted a strong financial partner for our business, and we hope to complete the sale swiftly to make the process as seamless as possible.?

According to Jason Rubin, who joined THQ as President last May, "We have incredible, creative talent here at THQ. We look forward to partnering with experienced investors for a new start as we will continue to use our intellectual property assets to develop high-quality core games, create new franchise titles, and drive demand through both traditional and digital channels."

Clearlake has agreed to serve as the 'stalking horse bidder' for a Section 363 sale process, which allows other interested parties to come forward with competing bids. Aggregate consideration offered by Clearlake for the purchase totals approximately $60 million, including a new $10 million note for the benefit of the company's creditors. The company is asking the Court for a schedule to complete the sale process in about 30 days.

Consumers and retailers should see no changes while the company completes a sale. The new financing will support business operations throughout the period. THQ does not intend to reduce its workforce as a result of the filing, and employees will continue to work their usual schedules and receive normal compensation and benefits, pending customary Court approval.

As is the case after a Chapter 11 filing, THQ expects to receive notice from NASDAQ informing the company that its shares will be delisted from the exchange within nine calendar days of notification.

THQ is being advised by Centerview Partners LLC and FTI Consulting as its financial advisors and Gibson, Dunn & Crutcher as legal counsel. Clearlake is being advised by DLA Piper as legal counsel.

I wish them the best, they're one of those rare publishers that aren't complete wankers and while their output might not be sterling across the board, it's different enough and interesting enough to be a breath of fresh air in this era of sterile endless series AAAAAA blockbuster bollocks.

Sadly THQ have a terrible reputation in the industry for shitting on their employees from a great height time after time. By all accounts a terrible place to work although ( insert legal disclaimer here etc ) I can't verify this first hand.

They were doomed after Homefront failed, it was either the next COD or bust. Fair play to them for taking the risk rather than drawing it out over years whilst the execs top up their pensions as some publishers are doing.

Sadly THQ have a terrible reputation in the industry for shitting on their employees from a great height time after time. By all accounts a terrible place to work although ( insert legal disclaimer here etc ) I can't verify this first hand.

They were doomed after Homefront failed, it was either the next COD or bust. Fair play to them for taking the risk rather than drawing it out over years whilst the execs top up their pensions as some publishers are doing.

Ah, yeah perhaps. I did a little work for them not so long ago and they were fine though, so mileage probably varies.

I've heard rumours that working for Volition can be pretty brutal but they were just rumours and working for any developer can be brutal at times so who knows.

So no crazy speculation on who the buyer is then? I'll start:Activision are the buyer, Company of Heroes to be re-branded as Call of Duty: Heroes, Metro 2033 to be re-branded as Call of Duty: Apocalypse and Saints Row to be re-branded as Call of Duty: Street.